Junk bonds plunged below the 6% yield barrier this week for the first time ever - a year ago,...

Junk bonds plunged below the 6% yield barrier this week for the first time ever - a year ago, they averaged 8.7% - also making them less enticing than ever. But high-yield guru Martin Fridson says a high index dollar price doesn’t automatically portend losses; he focuses on the high-yield market’s average risk premium vs. comparable Treasury bonds, which he says "represents a substantial overvaluation."